Guggenheim has recently initiated Elastic NV (ESTC) stock to Buy rating, as announced on September 11, 2024, according to Finviz. Earlier, on August 30, 2024, Robert W. Baird had reduced the stock from a Outperform to Neutral, setting a price target of $95 for ESTC stock. BofA Securities also reduced Neutral rating with a price target of $94. Additionally, UBS initiated Buy rating on May 22, 2024, with a target price of $135. Scotiabank analysts, in their report published on February 15, 2024, also initiated Sector Outperform rating for Elastic NV’s stock. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.
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Elastic NV (ESTC) Stock Trading Recap
On Tuesday, Elastic NV (ESTC) stock saw a decline, ending the day at $75.01 which represents a decrease of $-1.75 or -2.28% from the prior close of $76.76. The stock opened at $77.02 and touched a low of $74.16 during the day, reaching a high of $77.02. The volume of shares traded was 1.38 million exceeding the average volume of 1.31 million.
ESTC Stock Performance and Moving Averages
In recent trading, Elastic NV (ESTC) stock price has shown some volatility, fluctuating -4.07% over the last five trades and -1.55% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by -23.44%, and it has plunged by -34.59% in the previous three months. Currently, ESTC is trading at 0.03%, -20.02%, and -29.63% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.
As of the latest trading close, ESTC, a Technology sector stock, is trading -44.87% below its 52-week high but remains 8.71% above its 52-week low. The Average True Range (ATR) (14 days) of 3.06 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.
Elastic NV’s Profitability and Valuation Ratios
Elastic NV’s profitability metrics reveal strong financial health. The company currently boasts an operating margin of -9.19% and a profit margin of 4.62%, with a gross margin of -23.44%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.
In terms of valuation, Elastic NV’s market capitalization stands at $7.71 billion. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. The stock’s price-to-earnings (P/E) ratio is 136.83, assessing the company’s valuation relative to its earnings. The forward P/E ratio, which uses projected earnings for the next financial year, is 40.36. Additionally, the Price-to-Sales Ratio is 5.83, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 10.15, comparing the market value to the company’s book value.
Understanding Insider Trading
Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 16.84% of Elastic NV (ESTC)’s shares, while financial institutions hold 83.10%.
Notable insider trades include Moorjani Janesh, CFO & COO at Elastic NV (ESTC), who sold 6941 shares on Sep 09 ’24, at $70.25 each, totaling $0.49 million. On Sep 09 ’24, Banon Shay, Chief Technology Officer, sold 2666 shares for $70.25 each, amounting to $0.19 million. Additionally, on Sep 09 ’24, Kulkarni Ashutosh sold 19649 shares at $70.25 each, generating $1.38 million.
